Apple surpasses Nvidia as the most valuable firm at $5.03 trillion
Apple Inc. regained its position as the world’s most valuable company on Friday, surpassing Nvidia Corp. as investors gravitate toward the perceived stability of the iPhone manufacturer in light of apprehensions surrounding artificial intelligence expenditures. On Friday, Apple experienced a decline of 1.2 percent, bringing its market capitalisation to $5.03 trillion. In contrast, Nvidia saw a more significant drop of 4.2 percent, resulting in a valuation of $4.93 trillion. This marks the first occasion on which Apple has surpassed Nvidia since a brief instance in late July. Friday’s selloff was prompted by disappointing results from several major technology companies, including Intel Corp. and Amazon.com Inc.
This trend followed similarly lacklustre reports from Alphabet Inc. and Meta Platforms Inc., among others. The reports have rekindled apprehensions regarding the trajectory of AI expenditure, an area that Apple has predominantly eschewed. Concerns regarding the potential inadequacy of returns on substantial investments in AI computing infrastructure have positioned Apple, which has maintained a conservative approach to capital expenditures, as the standout performer among the Magnificent Seven technology giants this year.
Its shares have increased by 27 percent in 2026, surpassing the gain of second-place Nvidia, which stands as a significant beneficiary of AI expenditure. The outlays have escalated to such an extent that firms such as Alphabet Inc. and Amazon.com Inc. have experienced a decline in their free cash flow, compelling them to rely more heavily on debt markets for financing. Meanwhile, increasing interest rates are elevating the cost of borrowing. Apple, in contrast, is anticipated to experience a 38 percent increase in its free cash flow, reaching $142 billion in fiscal 2026, which concludes on September 30.
The tech-heavy Nasdaq 100 Index experienced a decline of 6.7 percent in October, marking its most significant downturn since March 2025. CoreWeave Inc. and Nebius Group, operators of data centers providing AI computing services, have experienced a decline exceeding 30 percent this month. With Friday’s collapse, Intel experienced a decline exceeding 45 percent in October, marking its most significant one-month drop in data over the past four decades.
